Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Scotiabank Misses Analyst Expectations; Amongst Most Declining Stocks On TSX Today

Published 2023-02-28, 02:18 p/m
Updated 2023-02-28, 02:21 p/m
© Reuters.

© Reuters.

By Ketki Saxena 

Investing.com – Scotiabank (TSX:BNS) reported first quarter net income of $1,772 million compared to $2,740 million in the same period last year. Diluted earnings per share (EPS) were $1.36, compared to $2.14 in the same period a year ago.

Adjusted net income( for the first quarter was reported at $2,366 million and EPS was $1.85, down from $2.15 last year. 

The Bank’s net interest margin contracted to 2.11% in the quarter, down 2.18%. The bank set aside $638 million in provisions for credit losses.  

By segment, Scotiabank’s Canadian Banking delivered adjusted earnings  of $1,088 million boosted by margin expansion, and strong asset and deposit growth. However, higher provision for credit losses and higher expenses weighed on results.  

Scotia’s International Banking generated adjusted earnings of $661 million, up 20% on higher net interest income as loans grew 19%, and strong non-interest revenues. 

Global Wealth Management adjusted earnings fell 6% to $392 million as market conditions drove declines in assets under management, impacting fee income, although growth in its advisory business remained strong. 

Global Banking and Markets saw  earnings of $519 million as net interest income grew a strong 22% benefiting from a 33% growth in loans. 

By late afternoon trading, Scotiabank shares were down over 5%, amongst the top declining stocks on the TSX today.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.